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Home My WebLink About2011 04_OPWA_76th Street North Sewer Intercepter Fee_2011.12.20OWASSO PUBLIC WORK AUTHORITY OWASSO, OKLAHOMA RESOLUTION NO. 2011 -04 A RESOLUTION ESTABLISHING THE SEWER SERVICES ASSESSMENT FEE IN THE 76TH STREET SEWER INTERCEPTOR ASSESSMENT AREA. WHEREAS, the Owasso City Council previously adopted Section 17 -302 "76th Street Sewer Interceptor" in the Owasso Code of Ordinances which provided for construction of the 76th Street Sewer Interceptor and further provided that costs for land acquisition, construction, professional fees, interest and other necessary costs and fees would be recouped through a per acre assessment fee for sewer services for all property located within the Assessment Area that are developed subsequent to the effective date of the ordinance and upon connection of currently developed properties to the 76th Street Sewer Interceptor; WHEREAS, Section 17 -302 provides that the per acre assessment fee will be established through a resolution approved by the Trustees of the Owasso Public Works Authority after all costs expended in the construction of the 76th Street Sewer Interceptor have been finalized; WHEREAS, final construction of the project has been completed and the project has been accepted by Trustees of the Owasso Public Works Authority. The total cost of construction for the 76th Street Sewer Interceptor is $4,741,293. The Assessment Area contains 3,536 acres, thus the mandatory assessment fee has been calculated to be $1,341 per acre; NOW, THEREFORE, BE IT RESOLVED that the mandatory assessment fee for sewer services in the 76th Street Sewer Interceptor Assessment Area, as set forth in Section 17- 302 of the Owasso Code of Ordinances, shall be $1,341 per acre. tA%1111111111 NN sv��:,C ""•O";�%Fs °�� ADOPTED this 20th day of December, 2011. 1 �co: =Q: SEAL, j-F D nebrake, Chairman pA....N'4�` ATTEST: /Jr Sherry Bish Authority S6&etary APPROVED AS TO FORM: Lois"" JJ imbardi, Authority Attorney 3 H16oz Ad •� � � r+?z Cri �--` N fad{ y�y■www� �'1w,�} ��(( }may. v w W C/) P-1 W a ,3nN3" 3 HILL f 3nIN 3Ati 3 IjSW9 a ■ r G ■ Ok cv s ■ Sri �r'� witr= iii##i## ■il�aaR y The City Wit7out Limits. TO: The Honorable Chair and Trustees Owasso Public Works Authority FRONT: Angela Hess TR'JSTM Finance Director 2011 DEC 2 0 SUBJECT: Resolution No. 2011 -04 East 76th Street North Sanitary Sewer Interceptor Assessment Fee DATE: December 16, 2011 BACKGROUND: On January 6, 2009, the Owasso City Council approved City Ordinance No. 935 which provided for the following: • Establishment of the 76th Street Sewer Interceptor Assessment Area • Assessment of a mandatory fee for connection to the 76th Street Sewer Interceptor • Authorization of an assessment fee to be established by Resolution of the OPWA upon completion of the project and after final costs were known The drainage basin to be served by the sewer interceptor and specified in the ordinance per Exhibit "A" included 3,843 net acres, 2719 net acres were designated as undeveloped and 1,124 net acres were designated as previously developed with access to sewer through the 76th Street Sewer Interceptor. A review of the assessment area determined that some of the acreage within the basin area could never be developed. This analysis resulted in a total deduction of 307 acres. Deductions taken into consideration include 147 acres of land included in the golf course area, 121 acres of the Stone Canyon Lake and 39 acres located in the basin that are part of the quarry mining operation. The final net acres of the assessment area are 3,536 acres, which are reflected as 1,124 previously developed acres and 2,412 undeveloped acres. Additionally, properties not located within the Assessment Area, were authorized by Ordinance No. 935 to have the ability to request connection to the 76th Street Sewer Interceptor. Properties which have already been developed and that are approved to tie into the interceptor will be required to pay the same assessment fee upon connection. SANITARY SEWER SERVICE: The interceptor line was designed and installed to facilitate the growth in northwest Rogers County and the southeastern region of Owasso which includes the highway 169 corridor to 193rd East Avenue. During the late 1970's and early 1980's, city staff had a strategic plan in place which allowed for construction of the Elm Creek Interceptor and Ranch Creek Interceptor. As a result of such foresight, the City of Owasso had the ability to grow from 3,000 residents to our 29,000 in the past 30 years. In addition, commercial construction has grown throughout the City. In the last 2000's, city staff had the same foresight to realize the need for a sewer interceptor that could potentially service over 2,400 acres of non - developed property within the basin, which in turn puts the city in a position to provide service access to an additional 8,000 new residents. Increases in population within the city will ultimately attract larger retailers and businesses to the City of Owasso while generating additional sales tax for the city. The 76th Street Sewer Interceptor has been designed to gravity flow all connections from the structure (home /building) to the sanitary sewer interceptor. Long term, this design will provide the most cost effective method for the City of Owasso and users of the sewer interceptor far into the future. Gravity flow does not require any mechanical and /or electrical components. Therefore, reducing the overall maintenance cost by 70% over the next 50 years. There are approximately 650 existing households who could potentially tap in to this sewer line. These households are currently on septic or aerobic systems which generally require a 1,000 gallon septic tank and approximately 300' of field line. Prices for these systems can vary widely depending on location and the current cost of materials. Installing /replacing a conventional septic system (including the tank) averages $2,000 - $5,000. Enhanced, engineered or alternative septic systems that use mounds, sand /peat filters, aerobic systems can cost $10,000 to $20,000 or more. Aerobic system pumps generally need to be replaced every three to seven years. Residents in the interceptor assessment area will now have a viable alternative to their current septic system should they choose to pay the assessment fee and tap into the 76th Street Sewer Interceptor. By choosing this option, the resident is no longer responsible for the costly ongoing maintenance and operation of a private sewer system. In considering the differences of sanitary sewer and storm water drainage, it is important to understand that sanitary sewer drains are designed to drain waste water and sewage from inside our homes. The sanitary sewer drains lead to the sanitary sewer system and ends up at a wastewater treatment plant. Unlike storm water runoff from yards, streets, parking lots, etc., sanitary sewer in this system is treated before being discharged into a natural water body which is a comparatively costly process. PROPOSED ACTION: The construction phase of the 76th Street Sewer interceptor project was completed on October 12, 2011. Final acceptance of the project was approved by Council on October 18, 2011. The OPWA Trustees are being asked to approve the following payback calculation for properties that are within the Assessment area, and approved to tie into 7611, Street Sewer Interceptor. Payment of this assessment upon approval will be mandatory and assessment fees will be due upon the approval of a final plat or connection to the sanitary sewer system The total number of acres included in the Assessment Area is 3,536 acres, with the total cost of the project coming to $4,741,293. Total costs include acquisition of land, construction costs, professional fees, interest and all other lawful and authorized fees per the approved Ordinance. As such, the mandatory assessment fee has been calculated to be $1,341 per acre. RECOMMENDATION: Staff recommends Trustee approval of Resolution No. 2011 -04 establishing the required mandatory per acre assessment fee of $1,341 for the 76th Street Sewer Interceptor per the City of Owasso Code of Ordinance, Section 17 -302. ATTACHMENT: A. Assessment Area Map B. Resolution No. 2011 -04